Market Overview
Global container markets remain highly constrained as we move through Q2, with strong demand, reduced effective capacity, and ongoing congestion driving a firm, carrier-controlled environment.
An early peak season, particularly ex-Northeast Asia, is accelerating rate increases, with multiple GRIs, PSS, rate restorations and congestion surcharges implemented throughout the coming months. Space availability remains the primary challenge, making early planning essential.
Northeast Asia to Oceania
- Demand continues to outpace supply, with vessels full through mid-July.
- Capacity remains constrained due to blank sailings and vessel downsizing.
- Equipment shortages (especially 40′ HC) and port congestion (Shanghai/Ningbo) are causing ongoing delays and rollovers.
- Carriers have announced further increases for later in July, including a second PSS and potential congestion surcharges.
- Additional increases may take the form of GRIs, PSSs or congestion surcharges of approximately USD 500 per TEU, with carriers potentially implementing multiple increases within a short period.
- Allow a minimum 14-day buffer on transit times.
Southeast Asia to Oceania
- Demand is improving, with stable capacity.
- Rates are expected to rise through July and August.
- Minimal blank sailings, though delays persist.
- Allow additional buffer for transhipments.
Europe & United States to Oceania
- Europe: Demand is stable but below historical levels; reliability is impacted by longer routings.
- USA: Oversupply is keeping rates under pressure, particularly with new services entering the market.
Trans-Tasman
- Market remains balanced with steady demand.
- Capacity is sufficient, though fuel costs are beginning to influence pricing.
- Schedule reliability has improved, with only minor disruptions.
Carrier Insight
- Direct services are at 90-100% utilisation, while relay and transhipment services are full.
- Space will remain tight over the next 5-6 weeks.
- Red Sea disruption continues, reducing global capacity throughout 2026.
- China demand remains strong (up ~10% YoY), with elevated rates expected through Q3.
- Southeast Asia demand is improving, while US trades remain soft due to excess capacity.
Outlook for July
- Rates are expected to increase further amid tight space and strong demand.
- Peak season surcharges are in full swing as the trade experiences an earlier-than-usual peak.
- Continued rolling of cargo is adding to delays as vessels are overbooked.
- Market remains highly fluid, with carriers maintaining strict capacity control.
Recommendations
- Book at least three to four weeks in advance.
- Split shipments to reduce rollover risk.
- Remain flexible on routing and timing.
- Act quickly on spot opportunities to secure space.
- Consider other options for urgent shipments such as air freight and LCL (less-than-container-load) services.
- Consider loading from alternative ports to minimise delays and disruptions.
We appreciate your ongoing partnership and remain committed to keeping you informed as market conditions evolve.
For any shipment planning or tailored support, please feel free to reach out to your Key Account Manager at any time.